Describe the optimal order size, Operation Management

Assignment Help:

A retail outlet has its own production facility for producing denim cloth. The ordering cost ($150) is the cost of setting up the production process to make the denim cloth. The carrying cost is $0.75 per yard and the demand is 10,000 yards per year. The production facility operates the same days as the retail store is open (i.e. 311 days) and produces 150 yards of the denim cloth per day. Determine:

a) The optimal order size

b) The total inventory cost

c) The length of time to receive an order

d) The number of orders per year

e) The maximum inventory level


Related Discussions:- Describe the optimal order size

Fraction defective p chart - control charts for attributes, Fraction Defect...

Fraction Defective P Chart - Control Charts for Attributes This type of chart is used when it is impractical or inconvenient to maintain a constant sample size. Instead of pl

Explain the s&op process., Describe the S&OP process. What are the major tr...

Describe the S&OP process. What are the major trade-offs that must be considered?

Describe innovative and creative ways, Discuss innovative and creative ways...

Discuss innovative and creative ways to use the patient ID bracelet containing a bar-code representation of the patient's ID and a bar-code scanner that could lead to improved qual

Define what kind of problem would apply a systems analysis, What kind of pr...

What kind of problem would you apply a systems analysis to? Why?

Elements, what are the elements of production forecasting?

what are the elements of production forecasting?

Explain what is the average setup cot per year, Radovilsky Manufacturing Co...

Radovilsky Manufacturing Company, in Hayward. California. Makes flashing lights for toys. The company operates its production facility 300 days per year. It has orders fo about 12,

Explain ensures goals and satisfaction, All of the following items describe...

All of the following items describe the sponsor's responsibilities for the project EXCEPT: A. Defines performace / success criteria B. Selects a manageable set of project to

Scope of job design - process design, Scope of Job Design - Process Design ...

Scope of Job Design - Process Design When designing any job, three requirements must be met simultaneously: technical feasibility, economic feasibility and behavioural feasibi

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd